Human Resource Performance Management System

Performance management systems (PMS) are usually entirely internal to the organization, but data must be linked to several other systems, like rewards, staffing, training and development, and career development. Performance management system (PMS) is a systematic process where the organisation involves its employees in improving organisational effectiveness by focusing them on achieving the organisation's mission, strategic goals and objective. PMS is a tool to implement strategy. It is a useful tool to communicate organisational goals and objectives, reinforce individual accountability for meeting those goals, to identify the individual and organisational performance results. It involves the three stages which are planning, performance observation, and providing positive feedback or corrective feedback. The purpose of PMS is to get employees to improve their performance and to achieved the organizational goal.

Performance planning must be constructed in such a way that any manager can do it, regardless of management style or skill. The manager must first define what the performance means in the case of specific direct report. According (Evans, 2001) this definition based on a cascade of goals beginning with the organizational strategy and operating plan, with the immediate source being what the manager is expected to accomplish during the period and ending with the direct report’s expected part of the accomplish. When performance dimension, measure and standard have been developed, the manager must communicate them to the direct report. The manager must make certain that the direct report understands measure and standard.

Data input for PM system include data organization, job and individual –level data. Organizational –level data consists of links to organization and unit goals and strategies and business plans. Job-level data is a significant part of the PM. Key task, responsibilities, and outcomes should flow from job data sets to individual performance plans. Most of the data in PM system are individual level-data.  The standardized report produce by the HRIS are the performance contract and the annual summary appraisal for each employee. The report includes aggregate performance data by unit and report comparing aggregated unit performance with unit output. (Cohen & Hall, 2005). Performance data in HRM decision and will flow automatically into some processes or be available for others as need.

Web-based system can also provide a calibration tools for employee performance ratings that allows for a visual inspection of distribute of rating for a population. This calibration is often essential as a tie-in to the compensation process since performance ratings often dictate how much employees may receive for their annual merit review.



Referens:

1. Kavanagh, M. J., Thite, M., & Johnson, D.R. (2012). Human Resource Information System: Basic,
    Application, and Future direction.